Direct payments to farmers from EU and national funds were over £1 billion in 2000 for the first time, the Minister for Agriculture, Food and Rural Development, Mr Walsh, said yesterday.
The total paid to farmers, he said, was £1,029 million, which involved his Department issuing almost two million cheques. The figure represented an increase of £113 million over the previous year.
He told a press conference in Agriculture House, Dublin, that 2000 was a very good year for agriculture and rural Ireland, notwithstanding the re-emergence of the BSE problem as the year ended.
"The farm income figures released in December confirmed the earlier forecasts of a strong recovery in incomes. However, the CSO figures showing a 15 per cent increase were released prior to the payout before Christmas of an additional and exceptional £58 million in premia payments by the Department," he said.
"Average income per person employed in agriculture rose by 17 per cent when account is taken of these figures. This increase can be attributed to increases in livestock and milk prices, harvest output and milk production levels combined with increased payments to farmers under Agenda 2000."
Prior to the BSE scares in continental Europe in November 2000, the beef market was performing well, with cattle prices well up on 1999. Prices for the year were 10 per cent higher on foot of a steady export demand and a strong live export trade.
The dairy sector had also performed strongly in 2000, helped by resurgent demand in key exporting countries and boosted by favourable exchange rate movement.
The pigmeat sector had also enjoyed a good recovery from the poor market situation of the previous two years and prices had increased by over 25 per cent on a slaughter level which had decreased by 9 per cent.
Sheepmeat prices were, on average, 129 per cent above 1999 and 3,552 animals were slaughtered at export plants, 9 per cent down on the previous year.
Mr Walsh said there had been major changes to the management of the milk quota regime with a break between the quota and the land which had allowed young, active producers to acquire permanent quota at a reasonable cost through the restructuring scheme.